Striking UAW Workers' Healthcare Now Back on GM's Tab

Steph Willems
by Steph Willems

As reports point to progress in efforts by General Motors and the UAW to reach a tentative collective agreement and resolve the now 12-day-long strike, the automaker has removed a contentious element of the drama. Announced Thursday, GM will resume covering workers’ health benefits.

GM withdrew the coverage early into the strike, forcing hourly workers to go through their union to fund temporary COBRA plans. As one would expect, GM’s about-face hasn’t left UAW all smiles.

In a letter from a GM labor official to UAW Vice President Terry Dittes outlined by CNBC, the automaker says it backtracked after seeing the “significant confusion” that resulted from its move. At the time, GM said the practice of removing coverage from striking workers was standard operating procedure. It would seem this latest move is more of a goodwill gesture than a realization of error.

After all, a dwindling UAW strike fund would serve to boost GM’s bargaining position. Cynical thinking? Maybe.

Certainly, Dittes wasn’t in a mood to thank GM for its graciousness. In a letter fired back at Scott Sandefur, GM’s North American VP of labor relations, Dittes chastised the automaker for its initial callousness.

The letter, in part, reads:

On Monday, September 16, 2019, I wrote to you via email to get a status update regarding our Members’ health care. On Tuesday, September 17, 2019, you provided an answer that our striking members and their families no longer had health care coverage. You also wrote, “Our employees should be eligible for COBRA paid for by the UAW fund so that their health care benefits can continue.” The same day you informed me that health care was no longer in effect I sent correspondence to all UAW Local Leadership informing them of such.

Finally, a week after terminating benefits, you write me a letter dated Wednesday, September 25, 2019, and received on Thursday, September 26, 2019, stating, “GM has chosen to work with our providers to keep all benefits fully in place for striking hourly employees.”

These irresponsible actions by General Motors are toying with the lives of hundreds of thousands of our UAW families.

Late Wednesday, Dittes told UAW members that negotiations were progressing, claiming, “All unsettled proposals are now at the Main Table and have been presented to General Motors, and we are awaiting their response.”

On the ground, GM dealers claim that, while their stock of new vehicles remains sufficient to tide them over, the supply of replacement parts is already dwindling. Many dealerships report a backlog of customers awaiting custom-order parts.

[Image: James R. Martin/ Shutterstock]

Steph Willems
Steph Willems

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  • Lokki Lokki on Sep 27, 2019

    Stopping healthcare for a moment was merely a shot across the bow to remind UAW workers how good they have it already. It’s from the same hardball playbook as announcing closure of several plants before the strike. Instead of fighting to get more, the Union has to focus on fighting keep what it has now. Job security at unprofitable plants, free healthcare, or wage increases. Choose one. As for antagonizing the workers/union.... nothing GM could do would make them happy, so why even bother to try? The relationship is an antagonistic one, has been since the 70’s, and isn’t going to change.

    • Highdesertcat Highdesertcat on Sep 28, 2019

      "As for antagonizing the workers/union…. nothing GM could do would make them happy" The UAW carries with them into the negotiations the battle ax of the bailouts, handouts and nationalization of GM in 2009, all to keep them working for putting their guy in the White House in 2008. The US gov't is not going to let GM fail, no matter who is in the White House or who runs the Hill. A number of US taxpayers have decided that buying from a UAW automaker is a losing transaction for the US taxpayers and have voted with their wallet and their feet in favor of any one of the excellent non-union automakers in the right-to-work South.

  • ToolGuy ToolGuy on Sep 27, 2019

    You know what they say: "Don't bite the hand that feeds the health care system which is profiting from your chronic conditions while actively working to kill you with medical errors."

  • The Oracle Well, we’re 3-4 years in with the Telluride and right around the time the long term durability issues start to really take hold. This is sad.
  • CoastieLenn No idea why, but nothing about a 4Runner excites me post-2004. To me, they're peak "try-hard", even above the Wrangler and Gladiator.
  • AZFelix A well earned anniversary.Can they also attend to the Mach-E?
  • Jalop1991 The intermediate shaft and right front driveshaft may not be fully engaged due to suspected improper assembly by the supplier. Over time, partial engagement can cause damage to the intermediate shaft splines. Damaged shaft splines may result in unintended vehicle movement while in Park if the parking brake is not engagedGee, my Chrysler van automatically engages the parking brake when we put it in Park. Do you mean to tell me that the idjits at Kia, and the idjit buyers, couldn't figure out wanting this in THEIR MOST EXPENSIVE VEHICLE????
  • Dukeisduke I've been waiting to see if they were going to do something special for the 60th Anniversary. I was four years old when the Mustang was introduced. I can remember that one of our neighbors bought a '65 coupe (they were all titled as '65 models, even the '64-1/2 cars), and it's the first one I can remember seeing. In the '90s I knew an older gentleman that owned a '64-1/2 model coupe with the 260 V8.
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